Arizona Adopts Rule Amending Treatment of Gratuities for TPT

Arizona has amended the treatment of gratuities for TPT purposes.

Membership Fees Not Taxable as Lump-Sum Admission Fees in Alabama

A taxpayer’s charges for annual and family memberships constituted exempt membership dues and not taxable lump-sum admissions fees in Alabama.

Electronic Gaming Devices Properly Taxed as Games of Entertainment in Maryland

Maryland held that electronic gaming devices were properly characterized as games of entertainment for purposes of being assessed Admissions and Amusement (A&A) Taxes.

Louisiana Enacts Tax on Fantasy Sports Revenues

Effective July 13, 2020, Louisiana has enacted a 8% tax on the net revenues of fantasy sports contests offered to consumers in Louisiana.

Peer-to-Peer Car Sharing Services to Remain Taxable in Maryland

Maryland has extended the sunset date for the imposition of sales tax on peer-to-peer car sharing services until June 30, 2021.

Entertainment Center Not Subject to Virginia Tax on Points Used to Activate Games and Rides

A family dining and entertainment center was not subject to Virginia tax on the sale of Play Points sold to customers as part of party packages.

Ride-Sharing Service Providers Required to Collect Tax in Georgia

Effective April 1, 2020, ride-sharing service providers (e.g. Uber, Lyft) are required to collect and remit sales tax in Georgia as a result of marketplace nexus legislation.

Missouri Denies Resale Exemption to Seller of Hotel Room Furnishings

The Missouri Supreme Court held a taxpayer could not rely on prior “sale for resale” cases which were decided based on the Court’s own “tangled analysis”. Here, the Court affirmed that the sale of room furnishings to a hotel company were not exempt under the state’s sales tax resale exemption.

Illinois Issues Guidance on Parking Excise Tax

The Illinois Department of Revenue (DOR) has issued information regarding the state’s Parking Excise Tax, which took effect on January 1, 2020.

New Jersey Limits Scope of Transient Accommodations Subject to Taxes and Fees

New Jersey transient accommodation taxes and fees are only applicable if rented through marketplace or professionally managed unit.

Hotel Guest Consumables Subject to Texas Sales Tax

A Texas hotel was not entitled to a sale for resale exemption on guest extras provided to customers.

Pennsylvania Releases Guidance on Hotel Occupancy Tax for Booking Agents

Effective January 22, 2019, a booking agent that facilitates the short-term booking of an occupancy on behalf of a hotel operator located in Pennsylvania must now collect and remit hotel occupancy tax on the rent collected.

Tablet Rental Charges for Restaurant Subject to South Carolina Sales Tax

A restaurant operator’s payment of charges for the use of a third-party vendor’s table top ordering and bill payment tablets were subject to South Carolina sales and use tax.

Tennessee Explains Application of Sales Tax to Restaurant Gift Cards

The Tennessee Department of Revenue Issued a letter ruling to explain the how sales tax applies to a taxpayer’s purchase and distribution of gift cards.

Online Travel Companies Responsible for Hotel Occupancy Taxes in Pennsylvania

Effective January 22, 2019, booking agents are required to collect Pennsylvania state and local hotel occupancy taxes on the full retail rate charged for a hotel room.

Airline Entitled to Virginia 90 Continuous Days Exemption on Hotel Rooms

An airline was entitled to a Virginia sales tax exemption on hotel rooms it occupied for longer than 90 continuous days.

Minnesota Issues Sales Tax Guide for Hotels and Other Lodging Establishments

The Minnesota Department of Revenue released a sales and use tax industry guide for hotels and other lodging establishments.

Wisconsin Provides Guidance on Lodging Marketplace Tax Duties

Wisconsin has issued a bulletin with guidance on tax responsibilities for persons offering short-term lodging through third-party websites (such as Airbnb and VRBO).

North Carolina Issues Letter Ruling on Taxability of Hotel Stays

Hotel stays over 90 days in North Carolina are exempt from state sales tax, even if a guest checks out and immediately checks back during the period to take advantage of a discount.

Illinois Enacts Hotel Tax Exemption for Religious Organizations

Effective July 1, 2017, Illinois enacted an exemption from the Hotel Operators’ Occupation Tax for religious organizations renting, leasing, or letting rooms in furtherance of the purposes for which they are organized.

Airbnb to Collect Sales Taxes in South Dakota

Beginning September 1, 2017, Airbnb will collect and remit state and municipal taxes on all eligible bookings in South Dakota. The appropriate taxes will be charged when booking through Airbnb.

South Carolina Will No Longer Mail Admissions Tax Returns

Effective June 1, 2017, the South Carolina Department of Revenue will no longer mail Admissions Tax Returns to taxpayers. Admissions tax must be collected when an admission fee has been charged.

Online Travel Companies Not Liable for Hotel Accommodations Tax in Chicago

An Illinois appellate court determined that online travel companies were not liable for Chicago’s hotel accommodations tax on facilitation and service fees charged to customers reserving hotel rooms, as the fees were not rent.

Utah Enacts Transient Room Tax, Effective January 1, 2018

Utah has enacted a transient room tax on transactions involving tourist home, hotel, motel, or trailer court accommodations and services that are regularly rented for less than 30 consecutive days.